County Warns of 'Devastating' Mental Health Cuts

By JAMES FERON

Published: February 19, 1989

WHITE PLAINS—
A PROGRAM of enhanced mental-health services that the state encouraged counties to develop in the years after World War II would be devastated if Gov. Mario M. Cuomo's proposed cuts in the state budget become law, said those who run the program in the county.

Mr. Cuomo, seeking to shrink a projected $2.6 billion budget deficit, has recommended a range of spending cuts, from the relatively straightforward elimination of revenue sharing, which would cost Westchester $1.8 million this year, to more complex reductions in reimbursement rates for social services.

In the case of Unified Services Aid - a program of prevention, treatment and rehabilitation for the mentally ill, mentally retarded, developmentally disabled and for alcoholics - Albany's reimbursements would be slashed to 50 percent from 69 percent. Commissioner Offers an Example

Steven J. Friedman, the county's Commissioner of Community Mental Health, said, ''This would mean that instead of the state providing us with $18 million against our $8 million, we would split the $26 million county program evenly - $13 million each.

''But we have only the local tax levy and private philanthropy to raise funds,'' he said. ''If we could not raise the additional $5 million, our $8 million would match only another $8 million, resulting in a potentially devastating reduction in the program from $26 million to $16 million.''

The magnitude of the reduction can be seen more graphically, he said, in terms of one of the recipient organizations, the Westchester Association for Retarded Citizens, which receives $1.85 million from the state. ''They would see it cut by $500,000 a year, so their board of directors, which already raises $800,000 on its own, would have to raise an additional $500,000 or cut workshop services, weekend respite programs and special camping services.''

County Executive Andrew P. O'Rourke, a Republican, has criticized Governor Cuomo for seeking to balance the state's books at the expense of the counties. The Westchester County government, he said, ''stands to lose approximately $15 million over the next two years if the Legislature does not restore cuts made in the budget.''

Democrats have come to the Governor's aid. Assemblyman Richard L. Brodsky, who is challenging Mr. O'Rourke in this year's race for county executive, said Mr. O'Rourke ''emphasized only the negatives'' by failing to acknowledge the Legislature's earlier role in ''saving county taxpayers hundreds of millions of dollars by the state assuming a larger share of Medicaid costs.''

Mr. Brodsky also recalled that the Legislature had ''cut state taxes by over $5 billion.'' The Assemblyman said the proposed budget would be carefully scrutinized by Albany lawmakers and probably amended. In any case, he said, Mr. O'Rourke was ''just sending up a smokescreen.''

According to Marcia M. Lee, director of intergovernmental relations in the O'Rourke administration, Westchester's 1989 losses would include $700,000 in public-health funds because of a proposed decrease to 30 percent from 40 percent in state reimbursement for County Health Department services.

The county would also lose $1.1 million in state highway and bridge funds under Mr. Cuomo's proposal that localities assume the full 25 percent non-Federal share of such costs, taking on the 19 percent portion currently supplied by the state in addition to the county's own share.

The proposed state budget would eliminate all state reimbursement to localities for housing prisoners ready to be incarcerated in state prisons and for parole violators and some felons, causing an estimated loss of $1 million to Westchester. A proposal to cut certain aid programs for community colleges would mean a loss of $280,000 to Westchester Community College.

With cancellation of $1.8 in revenue-sharing funds, the county's losses would come to $4.8 million in the 1989 fiscal year, Ms. Lee said. The figure climbs to $15 million for two years when other changes take effect Jan. 1, 1990, if the Governor's program is approved. The largest proposed cut for 1990 would be $7.5 million, representing a reduction in the state's share of noninstitutional long-term care to 10 percent from 20 percent. Mandatory Services Also Affected

The program, which includes services for personal care, home health aides and home nursing, is mandatory, so the county would have to raise the money ''and the only way we can make this up is through property taxes,'' Ms. Lee said.

''At the same time,'' she said, ''the Governor is proposing increases in welfare benefits, 15 percent each to the Aid to Dependent Children program and Home Relief.'' The estimated extra costs would add $2 million a year in Aid to Dependent Children benefits and an extra $600,000 for home relief.

A measure of fiscal relief is being promised, meanwhile, by State Comptroller Edward V. Regan, who said that changes he was proposing in the way governments contribute to the state's pension system could save Westchester's participants $6 million this year - if the law is changed in time. Excess Pension Funds